Indictment alleges bogus deals

Leesburg man faces 15 counts of wire fraud, accused of four different schemes.

Leesburg man faces 15 counts of wire fraud, accused of four different schemes.

May 13, 2006|PATRICK M. O'CONNELL Tribune Staff Writer

SOUTH BEND -- A Kosciusko County man has been charged with 15 counts of wire fraud in a federal indictment accusing him of arranging four financial schemes that raked in close to $200,000. Timothy Glatt made his initial court appearance and was arraigned Friday before Magistrate Judge Christopher Nuechterlein in U.S. District Court in South Bend. Glatt, of Leesburg, pleaded not guilty to all counts. In each scheme, the government contends in the May 6 indictment, Glatt was paid a fee to secure financing for real estate and business deals, but when the financing didn't come through, he never refunded the fees. Glatt failed to return $192,000 in advance-fee payments in the broken financing deals between fall 2002 and early 2003, according to the indictment. Individual money wire transfers, facsimile correspondence and e-mails from Glatt to clients make up each count in the indictment. In one e-mail to Rick Ampt, a man attempting to secure financing to buy a downstate golf course, Glatt wrote "I am not part of any scam or fraudulent activity. ... I have been on the road working diligently to close this transaction," according to the indictment. Ampt paid $55,000 to Glatt's financial company as an advanced-fee payment, but was never refunded the money when the deal fell apart because Glatt's company failed to provide the loan, according to the indictment. Ampt was forced to return the North Vernon golf course to its original owners. Glatt is free on a $10,000 unsecured bond until trial, which is scheduled for 9:30 a.m. Sept. 19 before U.S. Judge Allen Sharp. If convicted on all counts, Glatt faces a maximum sentence of up to 300 years in prison and $3.75 million in fines. Staff writer Patrick M. O'Connell: poconnell@sbtinfo.com (574) 235-6357